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Volcano Achieves 22 Percent Increase in First Quarter Revenues; Sales Growth, Margin Expansion Drive Profitability
Date:5/4/2011

are subject to risks and uncertainties that may cause Volcano's actual results to differ materially and adversely from statements contained herein. Some of the potential risks and uncertainties that could cause actual results to differ include the pace and extent of market adoption of the company's products and technologies, growth strategies, the impact of events in Japan, timing and achievement of product development milestones, outcome of ongoing litigation, the impact and benefits of market development, dependence upon third parties, product introductions, unexpected new data, safety and technical issues, market conditions and other risks inherent to medical device development and commercialization. These and additional risks and uncertainties are more fully described in Volcano's filings made with the Securities and Exchange Commission, including our recent annual  report on Form 10-K for the year ended December 31, 2010, and other filings made with the Securities and Exchange Commission. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. Volcano disclaims any obligation to update any forward-looking statements to reflect new information, events or circumstances after the date they are made, or to reflect the occurrence of unanticipated events.VOLCANO CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands) (Unaudited) March 31, December 31,20112010 Assets Current assets: Cash and cash equivalents

$
53,004$
43,429 Short-term available-for-sale investments  

153,228175,283 Accounts receivable, net

60,32959,133 Inventories

43,85840,499 Prepaid expenses and other current assets

7,6346,643 Total current assets

318,053324,987 Long-term available-for-sale investments

33,28526,804 Property and equipment, net

58,44056,503 Intangible assets, net

16,55817,103 Goodwill

2,4872,487 Other non-current asse
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